SBI announces loans at cheaper rates during festival season

State Bank of India (SBI) on Tuesday announced a slew of offers including cheaper rates for home and auto loan borrowers to cash in on the upcoming festival season.

Customers can avail the cheaper loans with added benefits such as waiver in processing fees, pre-approved digital loans, and loans with no escalation in interest rates across various categories.

"SBI has waived processing fees on car loans during the festival season. The bank is offering lowest interest rate starting from 8.7 per cent to customers opting for a car loan with no escalation in interest," said the bank in a statement.

For customers applying for a car loan online through the bank's digital platform like YONO or website, a 25 basis point concession on the interest rate can be availed. The salaried customers can also avail the loan up to 90 per cent of the car's on-road price.

Recently, the SBI reduced the marginal cost of funds-based lending rate (MCLR) by 15 basis points (bps) due to which overall home loan interest rate is now reduced by 35 bps since April 2019.

The country's largest lender offers home loan with an interest rate of 8.05 per cent as repo rate-linked home loan. This rate will be applicable to all existing and new loan from September 1. (ANI)